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Bill

HB 1665

Relating to the payment of gratuities to certain employees.

89th Legislature (2025) Introduced by Terry Canales

HB 1665 modifies Texas gratuity payment rules for certain employees, potentially affecting how tips are collected, distributed, and credited toward wages.

Referred to s/c on Workforce by Speaker
#labor--managementrelations(i0465) #labor--wages(i0485)
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Bill Summary · HB 1665

Legislative bill overview

HB 1665 addresses the regulation and payment of gratuities (tips) to certain employee categories in Texas. The bill, sponsored by Terry Canales, was filed in December 2024 and recently referred to the Workforce subcommittee for consideration. Without access to the full text, the bill appears to establish or modify rules governing how tips are collected, distributed, or credited toward wage requirements.

Why is this important

Gratuity policies directly affect worker compensation and business operations across hospitality, food service, and other tip-dependent industries. Changes to tip regulations can influence take-home pay for workers, employer labor costs, and compliance requirements for businesses—making this relevant to both employees and employers across Texas.

Potential points of contention

  • Tip pooling and distribution rules – Whether employers can require tip pooling, how tips are allocated among staff, and whether management can retain portions
  • Wage offset provisions – Whether tips can be credited against minimum wage obligations or if they supplement base wages
  • Applicability scope – Which industries and employee classifications are covered (servers, bartenders, delivery drivers, etc.) and whether independent contractors are included

Compiled from official sources — confirm details with the bill’s official record.

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